Capital gains tax would help Govt balance its books: CPA
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- Опубліковано 15 тра 2024
- Original article posted to NBR.co.nz on 24 April 2024. Read the article here: tinyurl.com/5h4z5kuh
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"New Zealand has a horrendous, long-standing housing shortage-roughly a quarter of Kiwis are cost-burdened (defined as spending more than 40% of their income on rent or mortgage payments), the highest rate among all OECD countries."
Capital gains tax rises can't be applied it to property investments. If smaller landlords are unable to afford tax rises, they will either cash out, or have less incentive to develop their properties. Less houses, higher rent, worse inequality. So keep a close eye on this, it can be a very clever way of worsening crises (e.g. high/flat rates, and/or taxing based on revenue instead of profit, so middle class is less able to afford to rent their second properties, instead selling it to someone richer, who can)
No to CGT, but lets change capital based taxes into the general tax system - but ONLY on liquidated assets and excluding the family home. So really I am saying yes to a CGT, but as a general tax compliance, not a stand alone tax regime.
Perhaps an opt in or out, for those that wish to use a revalued book for accruing tax position, claiming loses, paying gains, and others then opting out only pay on liquidation. That then protects the business owner from the increasing value of their business, to only be due on liquidation/sale etc.
Of course NZ should implement a comprehensive capital gains tax. An inheritance tax is also needed.
NZs existing tax system is a joke.
The government can do more to balance its books by moving the age of entitlement up for superannuation while retaining 65 on an inability to work basis only.
An inheritance tax is not needed. Tax was paid on the creation of that wealth. Why should it pay again?!
IF the asset cannot be gifted to another individual, then yes a tax could arise, but a trust or company entity can negate all those issues.
@@alman6581 it is income to the recipient, that’s why it should be taxed.
How about less government & less tax. Like you say the family home should not be taxed but I disagree with an inheritance tax. I work hard to help set my children up for their future. I am sick to death of how much money is blown on consultants, excessive civil servants & bullshit elitist groups with their snouts in the trough. I’m a capitalist with a social conscience but successive governments lack of planning becomes our emergency all too often.
@@user-ek1sq3bj4z I’m all for local and central government spending going through cost benefit analysis.
@@user-ek1sq3bj4z wow. What a wonderful real response.
I can't do anything but support you 150%